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The Code of
Ethics is now enshrined in the
Motor Vehicle Dealers Act,
2002. Each OMVIC member
embraces the demanding standards
detailed in this Code and agrees
to adhere to its language and
intent.
 Integrity
1) A
registrant shall be financially
responsible in carrying on
business.
2) A
registrant shall not indicate to
any person, directly or
indirectly, that any payment,
commission or other remuneration
in connection with a trade in a
motor vehicle is fixed or
approved by the administrative
authority, if any, a government
authority or any motor vehicle
board or association.
Disclosure
and Marketing
1) A
registrant shall be clear and
truthful in describing the
features, benefits and prices
connected with the motor
vehicles in which the registrant
trades and in explaining the
products, services, programs and
prices connected with those
vehicles.
2) A
registrant shall ensure that all
representations, including
advertising, made by or on behalf
of the registrant in connection
with the trading in motor
vehicles, are legal, decent,
ethical and truthful.
3) Before
entering into a contract with a
consumer who is not a registered
motor vehicle dealer in respect
of a trade in a motor vehicle, a
registered motor vehicle dealer
shall explain to the consumer the
terms of the contract between the
consumer and the dealer,
including the financial and other
obligations, if any, of the
customer under the contract.
Disclosure of information in
contracts of sale and lease
A registered motor vehicle
dealer who enters into a
contract to sell or lease a
motor vehicle to a person who is
also a registered motor vehicle
dealer shall ensure that the
following information is
disclosed in the contract:
1.
If the vehicle is a used motor
vehicle, the total distance that
it has been driven if the dealer
can determine the distance.
2.
If the vehicle is a used motor
vehicle and the dealer cannot
determine the total distance that
the vehicle has been driven but
can determine the distance that
the vehicle has been driven as of
some past date, a statement of
that distance and date, together
with a statement that the total
distance that the vehicle has
been driven is believed to be
higher than that distance.
3.
If the vehicle is a used motor
vehicle and the dealer can
determine neither the total
distance that the vehicle has
been driven, nor the distance
that the vehicle has been driven
as of some past date, a statement
that the total distance that the
vehicle has been driven is
unknown and may be substantially
higher than the reading shown on
the odometer.
4.
If the vehicle's odometer is
broken or faulty, has been
replaced, has been rolled back or
is in miles, a statement to that
effect.
5.
If any of the following is true
of the vehicle, a statement to
the effect that the vehicle was
previously,
i. leased on a
daily basis, unless the vehicle
was subsequently owned by a
person who was not registered as
a motor vehicle dealer under the Motor Vehicle Dealers Act
or the Motor Vehicle Dealers
Act, 2002,
iii. used as a
police cruiser or used to provide
emergency services, or
iii. used as a
taxi or limousine.
6.
If the vehicle has sustained any
damage caused by fire, a
statement to that effect.
7.
If the vehicle has sustained any
damage caused by immersion in
liquid that has penetrated to the
level of at least the interior
floorboards, a statement to that
effect.
8.
If there has been structural
damage to the vehicle or any
repairs, replacements or
alterations to the structure of
the vehicle, a statement to that
effect.
9.
If the vehicle is equipped with
an anti-lock braking system that
is not operational, a statement
to that effect.
10.
If any of the vehicles airbags
are missing or are not
operational, a statement to that
effect.
11.
If the vehicle is materially
different from the original or
advertised production
specifications, a statement to
that effect.
12.
If the vehicle has two or more
adjacent panels that are not
bumper panels and that have been
replaced, a statement to that
effect.
13.
If the model year of the vehicle
is the current model year or the
immediately preceeding model year
and any panels have been
repainted, a statement to that
effect.
14.
The make, model, trim level and
model year of the vehicle.
15.
If any badge or other indication
on the vehicle relates to a
different model than the model of
the vehicle, a statement to that
effect.
16.
If the total costs of repairs to
fix the damage caused to the
vehicle by an incident exceed
$3,000, a statement to that
effect and if the dealer knew the
total costs, a statement of the
total costs.
17.
If the manufacturer's warranty on
the vehicle was cancelled, a
statement to that effect.
18.
If the vehicle was declared by an
insurer to be a total loss,
regardless of whether the vehicle
was classified as irreparable or
as salvage under section 199.1 of
the Highway Traffic Act,
a statement to that effect.
19.
If the vehicle previously
received treatment in a
jurisdiction other than Ontario
that was equivalent to having had
a permit issued under section 7
of the Highway Traffic Act or
having been traded in Ontario, a
statement to that effect and a
statement of which jurisdictions,
except if one or more permits
have been issued for the vehicle
under section 7 of that Act to
cover at least the seven previous
consecutive years.
20.
If the vehicle has been
classified, under section 199.1
of the Highway Traffic Act, as
irreparable, salvage or rebuilt,
a statement as to how it was last
classified.
21.
If the vehicle had been recovered
after being reported stolen, a
statement to that effect.
22.
Any other fact about the vehicle
that affects the structural or
mechanical quality or performance
of the vehicle and that, if
disclosed, could reasonably be
expected to influence the
decision of a reasonable
purchaser or lessee to buy or
lease the vehicle.
Accountability
1) A
registered motor vehicle dealer
shall ensure that every
registered salesperson that the
dealer employs or retains to act
as a salesperson carries out his
or her duties in compliance with
this Regulation.
2) A
registered salesperson shall not
do or omit to do anything that
causes the registered motor
vehicle dealer who employs or
retains the salesperson to
contravene this Regulation or any
applicable law with respect to
trading in motor vehicles.
Compliance
1) A
registrant shall ensure that all
documents used by the registrant
in the course of a trade in a
motor vehicle are current and
comply with the law.
2) A
registered motor vehicle dealer
who enters into a contract with a
person for the sale of a motor
vehicle shall facilitate
compliance by the person with the
person's obligations under
subsection 11(2) of the
Highway Traffic Act unless
the person instructs the dealer
not to do so.
Respect
1) In
carrying on business,
registrants shall not engage in
any act or omission that, having
regard to all of the
circumstances, would reasonably
be regarded as insulting to
human dignity or integrity and
shall not use symbols that,
having regard to all of the
circumstances, would reasonably
be regarded as offensive.
2)
Registrants shall carry on
business ethically and with
respect for the rights and
interests of the persons with
whom they do business.
Professionalism
1) In
carrying on business, a
registrant shall not engage in
any act or omission that, having
regard to all of the
circumstances, would reasonably
be regarded as disgraceful,
dishonourable, unprofessional or
unbecoming of a registrant.
2) In
carrying on a business, a
registrant shall act with
honesty, integrity and fairness.
3) A
registrant shall use the
registrant's best efforts to
prevent error, misrepresentation,
fraud or any unethical practice
in respect of a trade in a motor
vehicle.
4) A
registrant shall provide
conscientious service to the
registrant's customers in the
course of a trade in a motor
vehicle and shall demonstrate
reasonable knowledge, skill,
judgment and competence in
providing the services.
5) If,
a)
a registered motor vehicle dealer
enters into a contract to sell or
lease a motor vehicle to a
purchaser or lessee who is not
another registered motor vehicle
dealer,
b)
the purchaser or lessee trades in
another motor vehicle to the
dealer under the contract or to
another registered motor vehicle
dealer under a separate contract;
and
c)
the dealer who receives the
vehicle being traded in agrees to
pay any outstanding loan on the
vehicle or to pay any outstanding
bill for the repait or storage of
the vehicle,
the dealer who receives the
vehicle being traded in shall
fulfill the dealer's obligations
under the agreement described in
clause (c). O. Reg. 332/08, s. 9
(5).
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